17-283. Issuance of bonds; negotiability; resolution; notice; tax exemption

A. The commission, with the approval of the joint legislative budget committee, may issue bonds for game and fish facilities purposes. The bonds are payable solely from the monies in the conservation development fund. The commission may pledge and assign all or any portion of these monies necessary to secure payment of the bonds to a fiscal agent or to a trustee in trust for the bondholders.

B. Bonds issued under this article are fully negotiable within the meaning and for all purposes of title 44.

C. The commission may prescribe by resolution any of the following:

1. Whether the bonds are in one or more series.

2. The date of the bonds.

3. The place, medium, manner and time of payment for the bonds.

4. The maturity date of the bonds which shall not exceed forty years from the date of the bond.

5. Any registration privileges.

6. The manner of execution and form of the bonds, either unregistered, registered as to principal only or registered as to both principal and interest and either certificated or uncertificated.

7. Whether the bonds are additionally secured by reserve or sinking funds which may either be capitalized in whole or in part by bond proceeds or accumulated over the term of the bonds from pledged revenues.

8. The denomination, interest rate, price and method of sale of the bonds. The commission may provide for interest rates which change from time to time based on a percentage of a recognized indicator of interest rates if a maximum and minimum rate of interest is specified in the resolution.

9. The terms on and manner in which bonds are callable. The bonds may be refunded by the issuance of refunding bonds either at or before maturity, but the issuance of refunding bonds shall not be construed to advance the maturity or change stated call dates of the bonds being refunded.

10. Any provisions necessary to secure the bonds and any terms, covenants or conditions deemed necessary by the commission.

D. In conjunction with the issuance of bonds the commission may enhance the security of the bonds by acquiring insurance covering the payment of debt service, acquiring letters of credit or other credit facilities or entering into investment agreements which provide for fixed yields on monies of the commission which may either be received from bond proceeds or from the revenues pledged to the payment of debt service. The commission may enter into an agreement to pay for insurance or letters of credit which pledges bond proceeds or monies deposited in the conservation development fund for the payments. The agreement shall not be effective for a term longer than the final maturity of the bonds being secured, except for payment of fees due from the commission.

E. The bonds, their transfer and the income from them are free from taxation in this state.